Of particular interest would be articles related to your experiences as NARB panelists. That insight is especially useful to those who have yet to sit on a panel.

Inside this edition, please find a report from NARB Panel #127, regarding Advertising for Hoover's Steam Vac Agility Cleaners.

Separately, I'm delighted to share with you the fine success recently experienced by the National Advertising Division at its annual conference.

The annual conference is guaranteed to draw a crowd, since it brings together some of the most interesting and insightful people in the advertising industry. But this year's event - a two-day conference at the W New York Hotel -- was sold out well in advance of the date.

The Hon. Pamela Jones Harbour, Commissioner, Federal Trade Commission, offered the keynote speech on the first day of the conference. Panelists included FTC attorneys Mary Engle and Leslie Fair and former FTC Commissioner Andrew Strenio.

Brandweek magazine took particular note of the FTC's participation in the conference in a recent story about the United Egg Producers - a case first heard by the NAD, appealed to the NARB and finally referred to the FTC.

Here's what Brandweek said: "The FTC's apparently speedy approval of the NAD's stance is a signal that the feds are taking enforcement that stems out of the NAD's voluntary process more seriously. That sentiment was underscored by the appearance of three FTC officials at the NAD's annual conference..."

The success of the conference continues to underscore the need for and appreciation of the advertising industry's system of self regulation. The advertising industry's system of voluntary self regulation relies on the full participation of interested parties. Your participation in NARB - the peer-review component of the system - is key. Our new Website and this publication are aimed at providing you with the information that will enrich your experience. I look forward to hearing from you.

Thank you,
Howard Bell
Chair, NARB

The letter, addressed to Maryland-based Compassion Over Killing, announced that the United Egg Producers' (UEP) "Animal Care Certified" logo will no longer be stamped on cartons of eggs sold nationwide. Instead, the logo will state "United Egg Producers Certified."

"The FTC strongly supports the NAD's self-regulatory program and encourages participants to adhere to the decisions of the NAD and NARB," Mary K. Engle, Associate Director, Division of Advertising Practices, stated in a letter dated Sept. 30, 2005.

NAD Annual Conference
What's New in Comparative Advertising, Claims Support and Self-Regulation

The NAD Annual Conference held September 26-27, 2005, during Advertising Week 2005, drew 210 attendees, a 30 percent increase in attendance over the previous year.

This year's conference "received some of the highest ratings we have had for any conference," said James R. Guthrie, President and CEO of the National Advertising Review Council "It drew important participants, valuable sponsorships, new members, archive subscribers and created an acknowledged 'buzz' for the opportunity to network with respected practitioners. The presentation on NARB and its role in the self-regulatory system by Bruce Hopewell, NARB Director, was ranked as one of the most valuable segments of the conference by attendees."

NAD concluded that comparative tests conducted by Hoover provided a reasonable basis upon which to base this claim, and NAD was not persuaded that Bissell's own comparative testing was more representative or more accurate than Hoover's. Bissell appealed NAD's decision.

The panel agreed with NAD that Hoover "Rev. 5" test is superior to the Hoover testing criticized by NAD in the 2001 case, and agreed in most respects with NAD's acceptance of the testing done under the "Rev. 5" test methodology as not being materially flawed or unfairly biased.

However, the panel disagreed with NAD's findings on one significant point: The panel was not satisfied that Hoover had adequately shown that the results of the Hoover "Rev. 5" test demonstrated there was a difference between the Hoover and Bissell products that was meaningful to consumers.

Rather, the panel determined that Hoover did not meet its burden of establishing a reasonable basis for the unqualified "Out Cleans Bissell and All Other Leading Brands" claim for the Hoover SteamVac Agility, and recommended that this claim be discontinued or clearly and conspicuously qualified to indicate that the different results achieved by the cleaners may not be visually perceptible to the average consumer.

The following members served on NARB Panel #127

The recent NAD Annual Conference was an enticing buffet for advertising law buffs, featuring a solid selection of nutritious offerings on the substance of controversial practices and related rulings.

Appetizers included previews of emerging legal and policy disputes generally at the FTC, state, and self-regulatory levels as well as those specifically arising from the escalating use of product placement techniques, the challenges of distinguishing between puffery on the one hand and implied claims amounting to false product denigration on the other, and forecasts about corresponding advertising-related legislation and regulation.

Satisfying entrees were also presented exploring in detail suggested guidelines for product demonstrations and offering sophisticated analyses about the fine points of initiating or defending advertising investigations at federal, state, and NAD venues and providing insightful pointers about the appeals process at the NARB.

The culinary experience then was topped by a tasty if somewhat naughty dessert consisting of a staff illustration of what does (or does not) constitute effective advocacy in the context of a mock NAD challenge to a deliciously absurd product claim.

Diners subsequently expressed a desire for larger portions but otherwise emerged satisfied with the intellectual sustenance and treats for practical application they had absorbed throughout the session.

(Mr. Strenio, a partner at Sidley Austin Brown & Wood, is a former public member of the National Advertising Review Board and a former Commissioner of the Federal Trade Commission.)

If you are interested in contributing to the Member's Corner please contact Bruce Hopewell at 212-705-0114 or email bhopewell@narc.bbb.org